zugzwang Posted November 3, 2017 Share Posted November 3, 2017 8 hours ago, darkmarket said: I actually found this a good example of the misrepresentation that becomes inevitable after all these false narratives. Since nobody wants to admit high house prices are a function of low interest rates and QE has been an expensive failure, both the Mail and the Guardian are left with asking if reductions in stimulus are an attack on the poor. Carney himself touched on the issue when he said those on 18% APR would be proportionally less affected, but that's no use if your advertisers sell 18% APR credit cards. Also his refrain of taking the foot off the accelerator seemed to me more apt for a command and control economy than a capitalist market economy, maybe that's just the central banker in 2017. Unless Carney knows in advance that Spreadsheet Phil is going to jam open the taps on November 22nd then he's miscalculated again. Badly. Recovery? WTF?? Quote Link to comment Share on other sites More sharing options...
Sancho Panza Posted November 3, 2017 Share Posted November 3, 2017 (edited) 14 minutes ago, interestrateripoff said: http://www.dailymail.co.uk/news/article-5046719/Most-banks-wait-pass-higher-payouts.html CARNEY BLAMES INTEREST RATE RISE ON BREXIT Bank of England chief Mark Carney today warned uncertainty over Brexit is to blame for the UK's first interest rate rise in a decade. He said the decision to quit the bloc is having a 'noticeable impact on the UK's economic outlook.' He added: 'In many respects the decision today is straightforward: with inflation high, slack disappearing and the economy growing at rates above its speed limit, inflation is unlikely to return to the 2 per cent target without some increase in interest rates. He's just taking the pi55 he cut rates due to Brexit now they are increasing due to Brexit!!! Nice to see you IRRO,you been on holiday-not seen you in a while or maybe I've been in the deflation thread too much? Edited November 3, 2017 by Sancho Panza Quote Link to comment Share on other sites More sharing options...
zugzwang Posted November 3, 2017 Share Posted November 3, 2017 Brent crude hit £42.60 today. Anything over £45bbl is recession territory. http://www.indexmundi.com/commodities/?commodity=crude-oil-brent&months=240¤cy=gbp Quote Link to comment Share on other sites More sharing options...
interestrateripoff Posted November 4, 2017 Author Share Posted November 4, 2017 15 hours ago, Sancho Panza said: Nice to see you IRRO,you been on holiday-not seen you in a while or maybe I've been in the deflation thread too much? Not been around for awhile, just trying for a little more life balance. Quote Link to comment Share on other sites More sharing options...
rollover Posted November 4, 2017 Share Posted November 4, 2017 Quote Carney Pulls the Rug Out from Under the Pound No longer will the prospect of a hiking cycle support the currency. yahoo Quote Link to comment Share on other sites More sharing options...
maverick73 Posted November 4, 2017 Share Posted November 4, 2017 2 hours ago, rollover said: Doesnt matter what rosy picture is painted, events external to UK boarders determines the fate of the pound. I’m hedging by next year the rate will be at 1%. They import heavy country cannot handle an ultra low pound, upon divorce. Quote Link to comment Share on other sites More sharing options...
Wayward Posted November 9, 2017 Share Posted November 9, 2017 We are always told by our masters that immigration doesn't depress wages? BOE reporting now that EEs leaving the UK is resulting in higher wages...something anybody with half an understanding of economics would understand and predict....can we look forward to higher wages and lower rents/house prices? Is it possible that work might begin to pay rather than rentierism...? England will be unrecognisable.... "Pay increases amid recruitment struggle A report by the Bank of England's regional agents has revealed that recruitment difficulties have "intensified" and are above the normal level in several parts of the jobs market, prompting wages growth to edge up, a trend which is expected to accelerate in 2018. The findings have been supported by the Recruitment and Employment Confederation, which has said that British employers are having to raise their pay offers to hire new staff and counter a growing shortage of EU workers ahead of Brexit." Reported in press as follows.. Daily Mail, Page: 2 https://www.thetimes.co.uk/article/wages-are-finally-rising-amid-recruitment-squeeze-rz0qszhmx https://www.ft.com/content/f725cbe2-c472-11e7-a1d2-6786f39ef675 Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted November 9, 2017 Share Posted November 9, 2017 11 minutes ago, Wayward said: We are always told by our masters that immigration doesn't depress wages? BOE reporting now that EEs leaving the UK is resulting in higher wages...something anybody with half an understanding of economics would understand and predict....can we look forward to higher wages and lower rents/house prices? Is it possible that work might begin to pay rather than rentierism...? England will be unrecognisable.... "Pay increases amid recruitment struggle A report by the Bank of England's regional agents has revealed that recruitment difficulties have "intensified" and are above the normal level in several parts of the jobs market, prompting wages growth to edge up, a trend which is expected to accelerate in 2018. The findings have been supported by the Recruitment and Employment Confederation, which has said that British employers are having to raise their pay offers to hire new staff and counter a growing shortage of EU workers ahead of Brexit." Reported in press as follows.. Daily Mail, Page: 2 https://www.thetimes.co.uk/article/wages-are-finally-rising-amid-recruitment-squeeze-rz0qszhmx https://www.ft.com/content/f725cbe2-c472-11e7-a1d2-6786f39ef675 300,000 immigrants say these people are talking s**t. Quote Link to comment Share on other sites More sharing options...
zugzwang Posted November 9, 2017 Share Posted November 9, 2017 2 hours ago, Wayward said: We are always told by our masters that immigration doesn't depress wages? BOE reporting now that EEs leaving the UK is resulting in higher wages...something anybody with half an understanding of economics would understand and predict....can we look forward to higher wages and lower rents/house prices? Is it possible that work might begin to pay rather than rentierism...? England will be unrecognisable.... "Pay increases amid recruitment struggle A report by the Bank of England's regional agents has revealed that recruitment difficulties have "intensified" and are above the normal level in several parts of the jobs market, prompting wages growth to edge up, a trend which is expected to accelerate in 2018. The findings have been supported by the Recruitment and Employment Confederation, which has said that British employers are having to raise their pay offers to hire new staff and counter a growing shortage of EU workers ahead of Brexit." Reported in press as follows.. Daily Mail, Page: 2 https://www.thetimes.co.uk/article/wages-are-finally-rising-amid-recruitment-squeeze-rz0qszhmx https://www.ft.com/content/f725cbe2-c472-11e7-a1d2-6786f39ef675 Hang on. Just a couple of days ago the Canadian dummy was blaming Brexit for screwing up his economic wizardry! Quote Bank of England Governor Mark Carney has said the UK economy should be “booming” but Brexit is holding it back. “Since the referendum, what we're seeing is that business investment has picked up, but it hasn't picked up to any of the extent that one would have expected given how strong the world is, how easy financial conditions are, how high profitability is and how little spare capacity they have,” Mr Carney told ITV's Peston on Sunday. “It should really be booming, but it's just growing. https://www.independent.co.uk/news/business/news/mark-carney-says-britain-would-be-booming-if-it-werent-for-brexit-a8040726.html Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted November 9, 2017 Share Posted November 9, 2017 35 minutes ago, zugzwang said: Hang on. Just a couple of days ago the Canadian dummy was blaming Brexit for screwing up his economic wizardry! Quote Link to comment Share on other sites More sharing options...
Wayward Posted November 9, 2017 Share Posted November 9, 2017 52 minutes ago, zugzwang said: Bank of England Governor Mark Carney has said the UK economy should be “booming” but Brexit is holding it back. Boom ? No boom? who cares? The system has been structured such that large swathes are excluded from any benefit from an increase in economic activity...this is confiscated from many of the productive participants in the form of rents and asset price inflation. Quote Link to comment Share on other sites More sharing options...
ElPapasito Posted November 9, 2017 Share Posted November 9, 2017 3 hours ago, Wayward said: We are always told by our masters that immigration doesn't depress wages? BOE reporting now that EEs leaving the UK is resulting in higher wages...something anybody with half an understanding of economics would understand and predict....can we look forward to higher wages and lower rents/house prices? Is it possible that work might begin to pay rather than rentierism...? England will be unrecognisable.... "Pay increases amid recruitment struggle A report by the Bank of England's regional agents has revealed that recruitment difficulties have "intensified" and are above the normal level in several parts of the jobs market, prompting wages growth to edge up, a trend which is expected to accelerate in 2018. The findings have been supported by the Recruitment and Employment Confederation, which has said that British employers are having to raise their pay offers to hire new staff and counter a growing shortage of EU workers ahead of Brexit." Reported in press as follows.. Daily Mail, Page: 2 https://www.thetimes.co.uk/article/wages-are-finally-rising-amid-recruitment-squeeze-rz0qszhmx https://www.ft.com/content/f725cbe2-c472-11e7-a1d2-6786f39ef675 This IS happening in my neck of the woods. A spate of failed recruitments for postdoc researchers because the EU applicants have disappeared means (a) we are creating job descriptions that tick the boxes to enable us to advertise at a higher grade (b) having to accept top point of scale appointments. Wage inflation is happening. And it is a good thing. Quote Link to comment Share on other sites More sharing options...
TheCountOfNowhere Posted November 9, 2017 Share Posted November 9, 2017 17 minutes ago, ElPapasito said: This IS happening in my neck of the woods. A spate of failed recruitments for postdoc researchers because the EU applicants have disappeared means (a) we are creating job descriptions that tick the boxes to enable us to advertise at a higher grade (b) having to accept top point of scale appointments. Wage inflation is happening. And it is a good thing. How will it be funded ? It's a bad thing. Inflation = good is the mantra of the spiv The poor need deflation , same result but the money comes from the rich to the poor not the other way round. Quote Link to comment Share on other sites More sharing options...
Funn3r Posted November 9, 2017 Share Posted November 9, 2017 If you own lots of things then inflation = the price of things increases therefore you can sell them for more, life is good. If you ain't got nuffin but you want things then deflation = the price of things decreases therefore you can buy them for less, life is good again. So there we are inflation/deflation is good/bad depending on whether you are a have/have-not. Quote Link to comment Share on other sites More sharing options...
BearlyBegun Posted November 10, 2017 Share Posted November 10, 2017 Fed policymaker sees further rate rises US interest rates are likely to rise again next month and a further three times next year, one of the Federal Reserve's rate-setters has said. http://www.bbc.co.uk/news/business-41928830 If this comes true then it would certainly add more pressure for the BoE to raise again, maybe even early next year Quote Link to comment Share on other sites More sharing options...
ElPapasito Posted November 10, 2017 Share Posted November 10, 2017 19 hours ago, TheCountOfNowhere said: How will it be funded ? It's a bad thing. Inflation = good is the mantra of the spiv The poor need deflation , same result but the money comes from the rich to the poor not the other way round. Wage inflation is good because wages have been crushed for 10 years (or 40 depending on what data you look at). And what was taken from wages went to returns to capital in basic terms. Wage increases will be funded from returns to capital in basic terms. We should eventually see wealth differentials lowering. Price inflation can't budge too much to fund it. Quote Link to comment Share on other sites More sharing options...
Democorruptcy Posted November 14, 2017 Share Posted November 14, 2017 Deputy Governor Jon Cunliffe's comments could only go in a "clueless" thread Quote Some of the relationships between economic variables that we depended on in the past appear to have gone on a longish leave of absence, but we are not sure why, or whether this is a temporary or more persistent departure,” he said. https://uk.finance.yahoo.com/news/carney-deputy-fears-pay-not-200830152.html Quote Link to comment Share on other sites More sharing options...
zugzwang Posted November 14, 2017 Share Posted November 14, 2017 21 minutes ago, Democorruptcy said: Deputy Governor Jon Cunliffe's comments could only go in a "clueless" thread Here's the Bank's macroeconomic model in schematic form. Quote Link to comment Share on other sites More sharing options...
Errol Posted November 23, 2017 Share Posted November 23, 2017 Quote Link to comment Share on other sites More sharing options...
zugzwang Posted November 23, 2017 Share Posted November 23, 2017 7 minutes ago, Errol said: Not quite. Commercial banks create deposits (inside money), central banks create reserves and cash (outside money). Shadow banks also create inside money but not deposits. As a consequence they're not regulated like banks and have no reserve requirement. The stuff about money being created on a computer screen, backed by nothing except faith and goodwill, is entirely true! Quote Link to comment Share on other sites More sharing options...
Wayward Posted November 28, 2017 Share Posted November 28, 2017 The dismal science.... Perhaps they should place an advert on TV explaining how banks work and the creation of money...that will help. "BoE must work harder to reverse distrust of economics Andy Haldane, chief economist at the Bank of England, has said that the central bank must work harder to improve the public's understanding of economics after seeing trust in the organisation fall following the financial crisis. Mr Haldane said economics was currently facing a "twin deficit" in which the British public failed to understand and trust economics. He said efforts to improve understanding of economic policy would help people make better decisions while ensuring there is a "trusting and understanding" relationship between the public and the BoE." As reported in press.. The Times, Page: 46 https://www.ft.com/content/d842ffc4-d381-11e7-8c9a-d9c0a5c8d5c9?FTCamp=engage/CAPI/webapp/Channel_Moreover//B2B Quote Link to comment Share on other sites More sharing options...
Errol Posted November 28, 2017 Share Posted November 28, 2017 26 minutes ago, Wayward said: Andy Haldane, chief economist at the Bank of England, has said that the central bank must work harder to improve the public's understanding of economics This all seems a bit Orwellian. Lots more propaganda in store then? Quote Link to comment Share on other sites More sharing options...
doomed Posted November 28, 2017 Share Posted November 28, 2017 30 minutes ago, Wayward said: Andy Haldane, chief economist at the Bank of England, has said that the central bank must work harder to improve the public's understanding of economics https://www.ft.com/content/724cb536-1d4b-11e6-a7bc-ee846770ec15 Andy Haldane said he considered himself to be “moderately financially literate” yet confessed to “not being able to make the remotest sense of pensions”. Quote Link to comment Share on other sites More sharing options...
zugzwang Posted November 28, 2017 Share Posted November 28, 2017 38 minutes ago, Wayward said: The dismal science.... Perhaps they should place an advert on TV explaining how banks work and the creation of money...that will help. "BoE must work harder to reverse distrust of economics Andy Haldane, chief economist at the Bank of England, has said that the central bank must work harder to improve the public's understanding of economics after seeing trust in the organisation fall following the financial crisis. Mr Haldane said economics was currently facing a "twin deficit" in which the British public failed to understand and trust economics. He said efforts to improve understanding of economic policy would help people make better decisions while ensuring there is a "trusting and understanding" relationship between the public and the BoE." As reported in press.. The Times, Page: 46 https://www.ft.com/content/d842ffc4-d381-11e7-8c9a-d9c0a5c8d5c9?FTCamp=engage/CAPI/webapp/Channel_Moreover//B2B It isn't just the general public that doesn't know anything about economics, Andy. It's you too. You and your equilibrium worrying pals at the Bank, the Treasury and the OBR. Quote Link to comment Share on other sites More sharing options...
Wayward Posted November 28, 2017 Share Posted November 28, 2017 That chart is hilarious...how do they preserve any credibility whatsoever...self evidently their forecasters are idiots. At what stage to they ask themselves.." we never seem to get this right, perhaps something is wrong with our approach" ??? Quote Link to comment Share on other sites More sharing options...
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